A guarantee is an undertaking to answer for the payment of another’s debt or the performance of another’s duty, liability or obligation. ...
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Liquidation in simple language is simply closing down/ killing off or winding up a business. In legal speak, liquidation involves the process of collecting all the business’s property, converting that property into cash, and distributing the cash to various creditors. Liquidation of businesses can occur in one of two ways, one can legally close down a business. The other option is striking off. ...
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Distress for rent is the seizure of a tenant’s goods for failure to pay rent with a view of selling them to recover the outstanding rent arrears. The Distress for Rent Act as read with the Auctioneers Act and the Rules provide the Legal Framework for the distress for rent process. ...
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Over the past few years, holders of debentures executed pre – 2015 have at the point of enforcing the same been met with the question –to appoint a receiver or an administrator? ...
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Over the past few years, holders of debentures executed pre – 2015 have at the point of enforcing the same been met with the question –to appoint a receiver or an administrator? ...
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An Administration Order can only be granted by the Insolvency Court once the conditions under Section 531 of the Insolvency Act are satisfied, to wit, a company is unable to pay its debts and if the order is made, the company is reasonably likely to achieve an objective of the administration....
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As therein indicated, under section 143 of the Companies Act, a director must act in the way which he considers, in good faith, would be most likely to promote the success of the company for the benefit of its members (shareholders) as a whole. ...
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Where a company is in financial difficulties or otherwise insolvent, the director’s duty shifts to the interest of the creditors of the company. ...
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The Insolvency Act, 2015 (hereinafter referred to as “the Act) introduced the option of placement of a company under administration as opposed to the making of a liquidation order as soon as a company presents signs of insolvency....
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The existence of any business depends on how best it is managed, and the strategies put in place to ensure its eternity. To stay in business and possibly grow, companies take credit which in some instances remain unpaid when a company is facing financial challenges....
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